Riding The Wave News Summary 75
ADA's Weekend Rally Pauses as Cardano Confirms ‘Most Significant’ Upgrade, Surge or purge? Why the Merge may not save Ether price from ‘Septembear’, & more
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Tweets
ADA's Weekend Rally Pauses as Cardano Confirms ‘Most Significant’ Upgrade
Surge or purge? Why the Merge may not save Ether price from ‘Septembear’
Ethereum gone wrong? Here are 3 signs to keep an eye on during the Merge
Ethereum Devs Dismiss Early Hiccups as Bellatrix Kicks Off the Merge
Tweets
ADA's Weekend Rally Pauses as Cardano Confirms ‘Most Significant’ Upgrade
The upgrade is being called the “most significant Cardano upgrade to date,” and is expected to increase network capacity, lower transaction fees, and bring enhancements to Cardano’s smart contract platform Plutus.
“[…] we anticipate a seamless technical transition, with no disruption for its users or a break in block production. Users need take no action,” the notice said.
The confirmation of the upgrade date came after Cardano in July successfully completed the upgrade on its testnet, calling it “an important next step in the journey towards the Vasil upgrade on mainnet.”
Excited to see this upgrade, even though it’s not a major pivot like Ethereum is seeing with the upcoming Merge event. Vasil is more of a Quality of life update and is in line with Cardano’s relatively conservative development approach.
Surge or purge? Why the Merge may not save Ether price from ‘Septembear’
Ethereum’s native token, Ether (ETH), is not immune to downside risk in September after rallying approximately 90% from its bottom of around $880 in June.
Much of the token's upside move is attributed to the Merge, a technical upgrade that would make Ethereum a proof-of-stake (PoS) protocol, slated for Sep. 15.
Despite logging impressive gains between June and September, Ether still trades almost 70% below its record high of around $4,950 from November 2021. Therefore, its possibility of heading lower remains on the cards.
Ethereum options traders anticipate Ether’s price to reach $2,200 from its current $1,540 level ahead of the Merge, according to Deribit data compiled by Glassnode. Some even see the price hitting $5,000, but enthusiasm looks flat post the PoS switch.
More downside cues from Ethereum come from its exposure to macroeconomic events, mainly quantitative tightening by the Federal Reserve.
Last week, Fed Chairman Jerome Powell reiterated the central bank’s commitment to curbing inflation, noting they “must keep at it until the job is done.” In other words, Powell and his associates would likely raise interest rates by 0.5%-0.75% in their next policy meeting in September.
From a technical perspective, Ether is painting what appears like a bear flag on its weekly chart.
Bear flags appear when the price consolidates higher inside an ascending parallel channel after a strong move downward. They resolve after the price breaks out of the channel to the downside and, as a rule of technical analysis, falls by as much as the previous downtrend’s length (flagpole).
I agree with the viewpoint that we will likely see a drop in price with news of the event occuring. I also wouldn’t be surprised if we saw a drop before the event occured a week or 2 in advance.
Ethereum gone wrong? Here are 3 signs to keep an eye on during the Merge
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